We use the expression relating the output state of polarization and PMD vector. Based on this expression we get the power fading including first-order PMD and chromatic dispersion, which is dependent on the angle of precession of output state of polarization around the PMD vector. From the expression for power fading, we get the average power penalty for chromatic dispersion and PMD. We propose a novel and fast PMD and chromatic dispersion monitoring technology. Measured results agree well with theoretical analysis.